Business

Insurers seek 25 percent increase in NC homeowner policies

Posted January 3
Updated January 7

— Insurers have asked the North Carolina Department of Insurance for an average 25.3 percent increase to homeowners insurance policies in the state.

The North Carolina Rate Bureau, the independent agency that represents insurers, filed paperwork with the DOI on Friday, seeking changes to premiums for homeowner policies ranging from a 2.7 percent decrease to a 35 percent increase, varying by territory, officials said. The insurers also requested revisions to the current geographic rating territories.

The proposed changes would take effect in August.

DOI officials plan to review the requests to determine what, if any, rate adjustments are warranted.

If the agency and the Rate Bureau cannot come to an agreement, a public hearing will be held for both sides to present their cases.

Insurance Commissioner Wayne Goodwin said he is "appalled" that insurers are requesting an increase only six months after higher rates went into effect in July.

"I believe the insurance companies should withdraw this rate filing immediately," Goodwin said in a statement. "If they do not, the insurance companies should expect a full hearing on this matter. I will not entertain any settlement negotiations. I urge North Carolina homeowners to take advantage of the public comment period and let their insurance companies know what they think about the notion of another homeowners insurance rate increase."

Anyone who wants to weigh in on the rate requests can appear at a public comment session from 9:30 a.m. to 4 p.m. Jan. 24 at the Jim Long Hearing Room of the Dobbs Building, 430 N. Salisbury St. in Raleigh.

Written public comments will be accepted through Jan. 31, and they can be mailed to: NCDOI, Attn: Bob Mack, Property & Casualty Division, 1201 Mail Service Center, Raleigh, NC 27699-1201 or emailed to 2014homeowners@ncdoi.gov.

20 Comments

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  • oleguy Jan 7, 8:42 a.m.

    Ins is a rip off, They want to sell you 200K replacement on a house worth 100K. Get off the big companys, find a local indepent dealer. Increase your deductable and lower your coverage to a number you can live with.

    Reduce the extras, do you really need 5K on a Refer. 6 years old against lightning, Or coverage on your dog house fence.

  • t50 Jan 6, 4:50 p.m.

    Upshot is fewer insurance companies sell product here and some of us are being gouged to supplement risk in other locations. Perhaps all insurance companies should abandon NC. whatelseisnew

    Not sure which company/companies you're referring to since every major home insurer is available in NC. Perhaps that's your issue, they are all the major players and not the small fly-by-night companies that charge little and do even less.

  • John Sawtooth Jan 6, 4:45 p.m.

    Let's face it - insurance is a gambling enterprise. They gamble you will pay them more money for protection than they spend on repairs or payment for losses.

    If rate increases are justified in some areas (like hurricane struck areas), then they should be able to show profit and loss for that region quite clearly.

    Good for Commissioner Goodwin for serving notice that this request for rate increases will be scrutinzed very strictly. They will have some plus years, some minus years - that's just business.

  • lprop Jan 6, 2:05 p.m.

    You have an Insurance Commission and A Utility Commission for the pwer companies. Where is the People Ccmmission for the people? Set a rate for the people and the places that justify a rate increase and leave the others alone.

  • delilahk2000 Jan 6, 11:06 a.m.

    OH POOR ME THEY BROKE EVEN LAST YEAR.....I WISH WE AS THE PAYING PUBLICI COULD BREAK EVEN .......WE DON'T HAVE THE PRIVILAGE OF RAISING OUR SALAIES ON A WHIM LIKE YOU DO.....ALL OF YOU MAKE ME SICK WHEN YOU SAY I NEED TO RAISE MY RATES WHEN EVERY D@M THING ELSE GOES UP BUT OUR PAYCHECK.....YOU DO NOT NEED AN INCREASE.......WE DO

  • uragoner2 Jan 6, 10:59 a.m.

    Just thinking what's next after the insane increases in medical insurance/deductibles and homeowners insurance. Perhap a $5000 deductible on car insurance ?

  • whatelseisnew Jan 6, 10:31 a.m.

    "they only broke even last year-so did most of the working people-funny, it doesn't translate into a mandatory raise as the people must all stay ahead of inflation on the same crumbs year after year-but the insurance industry seems to think it is guaranteed a profit off the backs of the very people who are trying to make do with less- whats wrong with this picture?"

    What is wrong is people that believe as you apparently do, that companies are not supposed to make a profit. I suppose that is a good way to go. They can all operate like GM. Go bankrupt and then get a taxpayer bailout. On the other hand, you do not have to buy insurance unless of course you have a loan on the property. One of the problems in this State is as always the Government has not allowed companies to charge appropriate rates by location. Upshot is fewer insurance companies sell product here and some of us are being gouged to supplement risk in other locations. Perhaps all insurance companies should abandon NC.

  • rachel Jan 6, 10:18 a.m.

    they only broke even last year-so did most of the working people-funny, it doesn't translate into a mandatory raise as the people must all stay ahead of inflation on the same crumbs year after year-but the insurance industry seems to think it is guaranteed a profit off the backs of the very people who are trying to make do with less- whats wrong with this picture?

  • foodstamptrader Jan 6, 10:15 a.m.

    Well someone has to pay for all those beach houses and ocean view mansions. I am tired of picking up the tab for all the coast dwellers that get artificial breaks for building in harm's way. Our taxes go up to pay and our insurance premiums go up.

  • Billy the Kid Jan 6, 9:52 a.m.

    We are almost all equally broke, folks. Pretty soon we can all be miserable together.

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